Some Cash Gifts Don't Require
Bothering the IRS with Forms

Q: Several readers asked whether you have to file any forms with the Internal Revenue Service if you give someone a tax-free gift of as much as $10,000 a year.

A: Generally, no. You can give your child -- or anyone else -- as much as $10,000 a year without having to file any forms. But, as usual with our tax laws, there is an important exception, says Anne Hilker, a lawyer at the firm of Dewey Ballantine in New York City. Here is an example: Suppose a married couple decides to give a total of $20,000 to their child. If...